Angle Provides Operational Update and Announces Closing of December 2007 Financing



    /NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
    THE UNITED STATES/

    CALGARY, Feb. 12 /CNW/ - Angle Energy Inc., ("Angle, or "the Company") a
privately-held Alberta-based oil and gas exploration and production company,
is pleased to provide an operational update.
    In December 2007, the Company's average production for the month was
4,362 barrels of oil equivalent per day ("boe/d"), comprised of 55% natural
gas, 45% natural gas liquids and light oil. Angle exited the quarter with
flush production rates exceeding 4,800 boe/d on guidance of 3,800 boe/d of
production. Currently, Angle estimates that production is 5,000 boe/d net to
the Company, with the Harmattan area contributing 80% of this total and the
Ferrier area contributing 20%. Angle maintains control through operatorship
and a high working interest in both core areas with over 80,000 acres of land
owned or controlled.
    In the fourth quarter of 2007, Angle drilled five (4.5 net) wells with a
net success rate of 89%. Currently nine (8.5 net) wells are awaiting either
completion or tie-in. The Company is in the process of optimizing and leveling
out base production with field compression in both Harmattan and Ferrier to be
implemented in 2008. Angle estimates current production capacity to be
6,000 boe/d without including the effects of these compression projects or any
new drilling in 2008.
    In the Harmattan area, four (3.5 net) wells were drilled in the quarter,
two targeting a Mannville sand, and two targeting Elkton carbonate. The
Mannville targets were both successful and will be followed up by up to seven
development locations in 2008. One of the two (2.0 net) wells flowed light oil
at rates exceeding 100 bbl/d and the other tested gas at initial rates of
3.0 MMcf/d. The Company expects a combined stabilized rate of 300 boe/d from
these two wells. The two (1.5 net) wells targeting the Elkton resulted in one
(1.0 net) high rate producer, with an initial choked back rate of 6 MMcf/d
that extended an existing Angle-operated Elkton pool, and one (0.5 net) dry
and abandoned well. Angle is particularly encouraged by the pool extension
established by the high rate producer and has a follow-up location planned in
2008 to further expand the pool.
    In Ferrier, one (1.0 net) well was drilled in the quarter and is
undergoing completion operations in an Ellerslie sand. Current production in
the Ferrier area is now 1,000 boe/d net to Angle. Angle has increased its
average working interest in Ferrier to over 75% from its previous position of
45%.
    Angle is also pleased to announce the closing of its private placement
equity financing for gross proceeds of $8.7 million in December 2007. The
financing is composed of 1,039,500 common shares at a price of $4.00 per share
for gross proceeds of $4.1 million and 955,467 flow-through common shares at a
price of $4.80 per share for gross proceeds of $4.6 million. The financing was
led by Tristone Capital Inc. and included Acumen Capital Finance Partners
Limited in the syndicate. Angle has total diluted shares of 37,642,908
outstanding. The net proceeds of the financing will be used to pursue and
accelerate Angle's exploration and development activities in its core areas.
    Including the net proceeds of the financing, Angle's estimated net debt
as at December 31, 2007 is $33 million compared to a $50 million bank line.
The line was updated recently on the basis of the strong production build in
the fourth quarter of 2007.
    Plans for the first quarter of 2008 are to drill six (5.4 net) wells in
total in Harmattan and Ferrier. The 2008 full year capital budget is currently
being reviewed in light of the Company's higher production rates and improved
gas commodity pricing. Originally, Angle had anticipated spending $41 million
to drill up to 19 wells in 2008 at an average 82% working interest. It is
likely this activity level will be revised upwards. Capital spending for 2008
will be focused primarily on drilling as the construction of major branch
pipelines was accomplished in 2007. In addition, Angle expects reduced timing
to bring production on line for new wells in proximity to these major branch
pipelines.
    Angle believes 2008 will provide excellent growth opportunities for the
Company in light of its balance sheet flexibility, strong drilling inventories
(with over two years of development drilling identified) and significant
exploratory plays, a track record of drilling success and low cost operations
with operating expenses less than $5.00/boe. The public markets to date have
been unattractive to private companies in our sector; however, Angle continues
to build a quality asset base with an eye to liquidity when it is most
appropriate for our valuation.

    Angle Energy Inc. is a Calgary based private oil and gas exploration and
development company that was incorporated in 2004 and commenced active oil and
gas operations in 2005. Angle's proven and dedicated team of industry
specialists are focused on identifying and developing high quality assets in
the Western Canadian Sedimentary Basin, with an emphasis in west central
Alberta.

    Certain information set forth in this press release contains
forward-looking statements. By their nature, forward-looking statements are
subject to numerous risks and uncertainties, some of which are beyond Angle
Energy Inc.'s control, including the impact of general economic conditions,
industry conditions, volatility of commodity prices, currency fluctuations,
imprecision of reserves estimates, environmental risks, competition from other
industry participants, the lack of availability of qualified personnel or
management, stock market volatility and ability to access sufficient capital
from internal and external sources. Readers are cautioned that the assumptions
used in the preparation of such information, although considered reasonable at
the time of preparation, may prove to be imprecise, and as such, undue
reliance should not be placed on forward-looking statements. Angle's actual
results, performance or achievement could differ materially from those
expressed in, or implied by, these forward-looking statements, and
accordingly, no assurance can be given that any of the events anticipated by
the forward-looking statements will transpire or occur, or if any of them do
so, what benefits that Angle will derive therefrom. Angle disclaims any
intention or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.

    NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
    THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY
    CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW. THESE SECURITIES HAVE NOT
    BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF
    1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE, AND MAY NOT BE
    OFFERED OR SOLD IN THE UNITED STATES UNLESS AN EXEMPTION FROM THE
    REGISTRATION IS AVAILABLE.





For further information:

For further information: Gregg Fischbuch, President & CEO, Heather
Christie-Burns, Vice President Engineering and COO, or Stuart Symon, CFO at
(403) 263-4534, or e-mail the Company at info@angleenergy.com

Organization Profile

Angle Energy Inc.

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